on the broadcast tonight, closing in on gadhafi. there's talk of u.s. military options against him. and now for hordes of people, now's the time to get out of there. a collision course in wisconsin with time running out. tonight, is there a deal to end the standoff? america at the crossroads. all week long our reports here on america's changing economy. tonight, are we keeping up in the search for the next big thing? and the winner is -- the good, the bad and the ugly at this year's oscars. and the amazing story behind the man behind the best picture. and the amazing story behind the man behind the best picture. "nightly news" begins now. captions paid for by nbc-universal television

good evening. the situation in libya is now a lot more serious where the u.s. is concerned. u.s. navy ships are being readied for a number of possible options here including possibly enforcing a no-fly zone. moammar gadhafi spoke again today on two television networks an interview the u.s. immediately called delusional. all this time the forces against him are closing in. we begin tonight with this elevation in the urgency on the part of the u.s. and others, and our chief foreign affairs correspondent andrea mitchell in our d.c. newsroom. andrea, good evening. >> reporter: good evening, brian. ratcheting up the pressure on moammar gadhafi, the u.s. and nato today began seriously considering taking control of libyan air space. a military option they had previously discounted. in geneva, secretary of state hillary clinton told a u.n. meeting all options are on the table including a no-fly zone operated by nato. >> a no-fly zone is an option we

are actively considering. i discussed it today with allies and partners, and we will proceed with this active consideration. >> reporter: president obama met today with u.n. secretary-general ban ki-moon. but moammar gadhafi shows no sign of stepping down, even denying today that the rebellion is real in comments to the bbc and abc. >> they love me, all my people, they love me all. they will die to protect me, my people. >> reporter: that prompted a sharp response from the u.s. >> it sounds just frankly delusional. it only underscores how unfit he is to lead and how disconnected he is from reality. >> reporter: the u.s. is repositioning naval and air forces in case the president orders military action. a destroyer is making its way northward through the suez canal into the mediterranean today. both the u.s. aircraft carrier

"enterprise" and helicopter carrier "kearsarge" are standing by in the red sea. nato could fly out of air bases in italy or from ships. but military experts warn a no-fly zone wouldn't stop gadhafi from killing civilians. >> it would not significantly change the situation in tripoli with gadhafi's revolutionary brigade's crushing dissent. and it would then entail enormous expenditures of resources and military energy for little outcome. >> reporter: the world is also uniting to squeeze gadhafi financially. the u.s. treasury announced it has frozen $30 billion in libyan assets. the largest sanction in u.s. history. europe is also freezing gadhafi's assets including the $16 million london home of gadhafi's home saef, who said his is just a very modest family. >> we're taking every possible step to isolate the gadhafi regime, to deprive it or money, to shrink its power.

>> reporter: tomorrow the united nations is expected to officially kick libya out of the u.n. human rights council, an embarrassment that critics say only underscores how the international community has been willing to overlook gadhafi's abuses until now. brian? >> andrea mitchell starting us off tonight. andrea, thanks. on the ground in libya tonight there is new pressure on gadhafi as well. those who want him out, as we said, are moving closer to the capital. and there's high anxiety about what may happen next. nbc' jim maceda is in tripoli tonight. jim, good evening. >> reporter: good evening, brian. gadhafi may have told foreign journalists today that his people love him but anti-gadhafi forces have never been closer to the capital. despite a ring of soldiers and heavy armor around the city, inside libyans were daring to protest. this funeral for a man shot in the head by a sniper turned into an anti-gadhafi demonstration.

but just as quickly ended after someone fired a round. and as people here heard reports of opposition forces moving closer to the capital, there were signs of growing anxiety. many are standing hours outside banks to collect a $400 handout from the regime in a desperate attempt to buy support before the chaos strikes. everyone here seems to expect civil war, and the government stokes the fear. >> hundreds of thousands, and i repeat, hundreds of thousands of libyans will be killed and destruction everywhere for possibly years to come. >> reporter: throughout libya battle lines are being drawn. this amateur video apparently shows a gun battle raging between pro and anti-gadhafi forces in misrata, site of an air base about 100 miles east of tripoli with both sides fighting to a standstill. further east in benghazi, under opposition control, volunteers signed up to join in the battle and a transitional government is

taking shape to run day-to-day affairs. but back in tripoli, gadhafi's regime remains in charge. this weekend, gadhafi's son saef visited supporters brandishing an assault rifle and promising more weapons. everything is fine, he said. we're going to be victorious. >> you can see the smoke. >> reporter: but the government has had to bomb its own weapons depots deep inside rebel controlled territory to keep the other side from using them. the opposition is now on tripoli's doorstep, barely 30 miles away in zawiya. these scenes captured sunday by international news cameras show what was once gadhafi's heartland have become a den of protests. thousands called on their leader to step down protected by soldiers with tanks and machine guns. there's a real sense of foreboding here, brian. many libyans believe gadhafi when he says he will turn this country red with fire rather than be defeated. brian? >> jim maceda in tripoli for us tonight.

jim, thanks. the situation at libya's borders has become what the u.n. now calls a humanitarian crisis. thousands more foreigners are desperate to get out. many of them can't. they're stranded. libya's border with tunisia is mobbed with those trying to flee. and remember tunisia is dealing with a new post-revolution government themselves. we have a report there tonight from emma murphy, from our british part itn. >> reporter: this is an exodus on a most incredible scale. thousands of desperate people crushed together. they carry everything they now own. and for some, the travel and the terror of their journey proved too much. amidst the mass of people children passed from person to person to safety. 2-year-old clifford and his exhausted family are trying to return to india. >> they've helped a lot. i must thank them. >> reporter: there are around a million and a half foreign workers in libya. some of the poorest people in society.

now they're trying to leave. these thousands of people have traveled for days to get here. incredibly this tiny little gap in the border is the only way that all these people can get out of libya and in to tunisia at this point. once here, there's growing frustration, particularly from egyptians about their government's response. from the border, the most vulnerable of us to makeshift camps created by the u.n., the red cross and the tunisian military. the real concern is that these do not become permanent refugee camps. but for now, with so many desperate people, there's little choice. >> the sheer numbers are putting a strain on what we can do for people here. also people are coming through with stress injuries and crush injuries. >> reporter: this influx is putting a terrible pressure on this country. those who have been forced to flee here. emma murphy, itv news on the tunisian/libyan border. as we turn to coverage of news in this country, we return

to the standoff between labor unions and the governor of wisconsin. tonight there are some rumblings that a deal over the issue of collective bargaining rights could be in the works, but so far it is just talk. nbc's mike taibbi covering the story tonight in madison. mike, good evening. >> reporter: good evening, brian. sources say it's moderate republicans in the state senate who, when talking about a compromise or even voting against governor walker's bill. but if that bill is not approved, walker says massive layoffs are unavoidable. 14 senate democrats remain on the other side of the illinois state line, preventing a vote on governor scott walker's anti-union bill. but as the standoff has stretched out, some republicans have wobbled in their support for walker and his bill. and today president obama re-entered the debate. >> i don't think it does anybody any good when public employees are denigrated or vilified or their rights are infringed upon. >> reporter: over the weekend,

there was a massive pro-union demonstration in madison, more than 75,000 protesters outside and inside the statehouse. and other coordinated rallies in new york, chicago and washington, d.c. and on yesterday's "meet the press" walker said again he will not budge from his plan to curb the public union's benefits and bargaining rights and repeated his ultimatum. >> if we do not get these changes and the senate democrats don't come back, we'll be forced to make up the savings in layoffs. that to me is just unacceptable. >> reporter: wisconsin is not alone in this. today indiana democratic lawmakers remain out of state to prevent a vote on an anti-union bill while ohio's republicans could approve such a bill by wednesday. but madison has been the bellwether. even though the impromptu protesters' village that has occupied the statehouse for nearly two weeks was slowly dismantled, the peaceful nature of these extended protests, backed by the stubborn holdout of those senate democrats had this assemblyman saying what the math says is still unlikely.

>> we are winning. >> reporter: well, governor walker delivers his budget message tomorrow afternoon at 4:00. he says if his bill is not voted on or approved by then, as many as 1,500 state workers will get layoff notices starting this week. brian? >> mike taibbi in wisconsin, thanks. also in the midwest tonight a lot of cleaning up after a night of violent weather. tornadoes were reported from oklahoma to ohio. lots of damage in kentucky including roofs torn off houses. ice, hail and rain fell across a big area. flooding is a problem from indiana to pennsylvania now. and that system is now stretching, as you see, from the gulf coast churning all the way up through new york with high winds, heavy rain, potential tornado conditions, a lot of ruined travel plans along the east coast from hartsfield to laguardia. the spectacular public train wreck involving charlie sheen continued today with an interview that aired this morning on "today" during which

sheen insisted he is now clean of alcohol and drugs. also in the interview with nbc's jeff rossen, he says he's underpaid for his show "two and a half men" which cbs canceled last week for the rest of the season after sheen's rant against the show's creator and executive producer. >> i'm a man of my word. so i will finish the tv show, i'll even do season ten. but it's at this point because of psychological distress, it's 3 mill an episode. take it or leave it. >> you want a raise? >> well, yeah. look at what they put me through. >> sheen described himself as being at war with the executives who made the decision to shut down production. there's even more to this. jeff rossen will have it tomorrow morning on "today." when we come back here tonight, our special series on the american economy, at the crossroads, can the u.s. do it again and come up with the next big thing? and later, the late bloomer who overcame a big obstacle and stole the show in last night's oscars.

take a look at this. pentagon's newest spy drone, the hummingbird, a prototype of what they hope to use for video surveillance. an example of scientific innovation that can come out of the defense industry. the problem is with the american economy still struggling, people are wondering about america's ability to hold on to superiority in research and development of the next big thing. in our special series this week "america at the crossroads," we are looking at how changes at home and across the world are affecting our economy. and we begin tonight with nbc's tom costello. >> reporter: from the model t to "apollo." >> one small step for man -- >> reporter: from the pc to the web. ♪ time and again american innovation has transformed the economy creating countless jobs along the way. so is there a next big thing on

the horizon that might lift the economy and create millions of new jobs? in silicon valley chip giant intel is spending a staggering $7 billion on research and development this year alone. looking for the next big thing. computer chips hard wired with topography software, advanced graphics and smart cameras that recognize a landmark then jump to a related wikipedia page. >> you see us investing in good times and in bad times when other people don't. >> reporter: but ceo paul otellini fears the country is losing its competitive edge to asia. he blames high corporate taxes and an education system that's falling behind the rest of the world in math and science. >> this is very scary. you take this out over another 10, 20 years, you won't have the ability to find the workers you need for the jobs that american companies or foreign companies located here are going to need. >> reporter: so intel is investing $100 million a year on

k through 12 education, another $100 million on collaborative university research centers looking at the next generation of computing. but otellini doesn't see a single next big thing on the american horizon. rather, a series of innovations in high tech, biotech and green tech. if it's going to be a series of innovations instead of one big innovation, one of those innovations may be happening right here at the r & d lab at a-123 where they're taking lithium battery technology to a whole new level. the company is now hiring thousands of employees at its new plants in michigan where it's building batteries for new electric vehicles and massive batteries to back up the nation's electric grid. >> we can make the grid more stable by applying batteries that will last for a decade that will provide stability for the grid. >> reporter: a-123 was the brainchild of several professors at m.i.t. whose alumni have founded 26,000 now active

companies in the u.s. >> entrepreneurship is not our shortcoming. the shortcomings reside in the large firms who aren't able to stay with it. >> reporter: too quick, says roberts, to ship jobs overseas taking advantage of business incentives and university educated workers. as for intel, it has 45,000 u.s. employees, and it's spending billions on factories in arizona, new mexico and oregon. >> we don't have a god-given right to these jobs. we have to make sure we create the environment where people, not just american firms but foreign firms want to invest here. >> reporter: the question is whether america will lead the way in this century as it did in the last. tom costello, nbc news, santa clara, california. >> much more from tonight on our website, nightly.msnbc.com. tomorrow night as we continue along these lines, tom brokaw takes a look at the skills that are going to be needed in the workforce and how to go out and get them. late word of the death of a hollywood legend. we learned late tonight the

actress jane russell has died. she started her hollywood career as a bombshell in the howard hughes movie "the outlaw," which shocked 1941 audiences so much it was pulled from some theaters. her career went beyond her sex symbol image. she appeared in a lot of films over the years, starring with marilyn monroe in "gentlemen

prefer blonds" and a lot of bob hope musicals. a later generation knew her as a bra pitch woman on tv. she called herself a full figured girl. veteran actress jane russell was 89 years old. america has also lost the last of a breed. the last of the doughboys. frank buckles has died. he was the last american survivor of world war i. he wanted to serve his country so badly in the war that end all wars that he lied about his age. first tried to join up at 16, and served as an army driver and guard in england, france and germany. in world war ii he was captured as a civilian and spent three years in a japanese p.o.w. camp. he was still sharp enough two years ago to testify before congress. frank buckles was 110 years old. he will receive full military honors at arlington national cemetery. and we learn this weekend baseball legend duke snider has died. the hall of fame center fielder slugger who helped lead the

brooklyn dodgers to their only world series victory in 1955 though he was also part of the los angeles dodgers championship team in '59. he didn't always see eye to eye with the front office or the fans. duke snider was 84 years old. up next this evening, how a little boy's big problem led him all the way to the biggest honor in his craft.

the ratings in for last night's academy awards and they were down from last year. though 37 million of us watched. and a whole lot of people bleary-eyed after the multi-hour marathon. we're still talking about it all day today. the winners and losers, who hosted and who didn't. the joyous moments, the cringe worthy moments and the movie that emerged as the no-surprise big winner. our report from our man in hollywood, nbc's lee cowan. >> good evening. >> reporter: oscar is suffering an identity crisis. >> the weird part is i just got a text message from charlie sheen. >> reporter: it was supposed to appeal to the young and hip. but it was a frail kirk douglas who got people talking, awkwardly. >> she's gorgeous.

wow. >> reporter: that is followed by the less than family friendly melissa leo. >> it looks so -- >> reporter: while speaking her mind got her in trouble, one documentary filmmaker was praised for speaking his. zeroing in on the nation's economic meltdown. >> not a single financial executive has gone to jail, and that's wrong. >> reporter: but these those were the atmospherics. oscar's heart still celebrates talent and one name in particular was dropped repeatedly. >> david seidler. >> david seidler. >> and david seidler. >> the oscar goes to -- "the king's speech," david seidler. >> reporter: he was last night's quiet hero. a struggling screenwriter who at the age of 73 finally had a hit. >> my father always said to me i would be a late bloomer. >> because i bloody well stammer. >> reporter: he not only wrote "the king's speech," he lived it. as a boy, he was a stutterer, too. >> i was told, listen to him. his stutter was much worse than yours, david.

and listen to him now. >> reporter: he drew on his own experience but also something else. remarkably, the diaries of the king's real life therapist lionel logue were found by logue's grandson. >> history forgotten for 50 years locked away in an attic. >> reporter: that's where the queen mother wanted them to stay. when seidler, a loyal subject, asked permission to write about her husband, he got the royal n-o, at least not when she was alive. >> when the queen mother says to an englishman, you wait, you wait. >> reporter: she lived another 28 years. but the wait was worth it. for him and all those who have words they can't get out. >> i accept this on behalf of all the stutterers throughout the world. we have a voice, we have been heard. >> reporter: indeed. lee cowan, nbc news, hollywood. and that is our broadcast for this monday night. thank you for being here with us

as we start off a new week. i'm brian williams. we hope to see you right back here tomorrow evening. we hope to see you right back here tomorrow evening. good night. -- captions by vitac -- www.vitac.com ♪ right now at 6:00, officers just gave us an update on the deadly police shooting on the peninsula. what made them fire on a mentally ill man. plus, the startling confession by the couple who kidnapped jaycee duggard. what they told investigators about her 18 years in captivity. >> and a battle in the east about a new concern about to move into one shopping district. good evening, everyone.